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Pompano Beach, FL………Imperial Industries,
Inc. (“IMPL” formerly “IPII”)
announced today results of operations for the year ended
December 31, 2004.
The Company generated net income in 2004 of $2,466,000,
or $1.02 per fully diluted share (after adjusting for
the reverse stock split effective March 23, 2005), compared
to $640,000, or $.28 per fully diluted split adjusted
share for 2003, a per share increase of 264.2%. Net
sales in 2004 were $55,268,000, compared to $41,069,000
in 2003, an increase of 34.6%. The sales increase was
principally due to higher demand for Company products
because of greater strength in the new housing and construction
markets in the Company’s trade areas compared
to last year, in combination with market share gains.
The increase in sales, together with greater operating
efficiencies, resulted in increased operating profits
in 2004 compared to 2003.
The 2004 results include a pre-tax gain of $482,000
from settlement of litigation against a former employee
and others, arising from the former employee’s
alleged violation of his non-compete agreements with
the Company. In 2003, the Company closed an underperforming
distribution facility that accounted for pre-tax losses
of approximately $379,000.
S. Daniel Ponce, Imperial’s Chairman of the
Board stated: “The 2004 results show our Company
is well postured to realize future gains from the continuing
strength in the new housing and construction markets,
as well as the rebuilding efforts necessitated by the
damage caused by four hurricanes in a number of the
Company’s trade areas. We remain focused on targeting
strategic opportunities to generate market share gains
in our current markets as well as new markets. ”
Mr. Ponce also stated: “The Company is nearing
completion of a major capital improvement project to
expand and enhance the production capabilities of its
Winter Springs (greater Orlando area), Florida manufacturing
facility. We anticipate this facility will be fully
operational with its upgrades in the second quarter
of 2005 and will create improved operating efficiencies
and increase capacity for future profitable growth.”
As previously announced, the Company implemented a
one-for-four reverse stock split on March 23, 2005 in
order to meet minimum per share market price requirements
for an initial listing on the NASDAQ Small Cap Market.
The Company is hopeful that the transition from the
trading of its common stock from the OTC Bulletin Board
to the NASDAQ Small Cap Market will be completed early
in the second quarter of 2005.
Imperial Industries, Inc., a building products company,
sells products throughout the Southeastern United States
with facilities in the States of Florida, Georgia, Mississippi
and Alabama. The Company is engaged in the manufacturing
and distribution of stucco, plaster and roofing products
to building materials dealers, contractors and others
through its subsidiaries, Premix-Marbletite Manufacturing
Co. and Acrocrete, Inc. The Company through its subsidiary,
Just-Rite Supply, Inc., is engaged in the distribution
of the Company’s manufactured products, as well
as gypsum, roofing, insulation and masonry products
manufactured by other companies. See our website at
www.imperialindustries.com
for more information about the Company.
The statements in this press release contain certain
forward-looking statements, which are subject to risks
and uncertainties. Such statements, including those
regarding, among other things, the success of the Company’s
sales and marketing efforts, improvements in productivity,
the Company’s strategy and future prospects, are
dependent on a number of factors, including market conditions
and availability of financing, only some of which are
within the Company’s control. Actual results could
differ materially from those currently anticipated due
to a number of factors, including those set forth in
the Company’s Securities and Exchange Commission
filings under “Risk Factors”. A more detailed
discussion of risks attendant to the forward-looking
statements included in this press release are set forth
in the “Forward-Looking Statements” section
of the Company’s Annual Report on Form 10-K for
the year ended December 31, 2004, filed with the Securities
and Exchange Commission (“SEC”), and in
other reports already filed with the SEC.
| IMPERIAL
INDUSTRIES, INC. - Financial Highlights |
| |
|
 |
Year
Ended December 31, |
|
2004 |
2003 |
|
Net Sales |
$
55,268,000 |
$
41,069,000 |
| Income
before taxes |
$ 3,754,000 |
$ 938,000 |
|
Income tax expense |
(1,288,000) |
(298,000) |
| Net
Income |
$
2,466,000 |
$
640,000 |
Basic
income
per common share* |
$
1.06 |
$
0.28 |
Diluted
income
per common share*
|
$
1.02 |
$
0.28 |
| |
|
|
| *Income
per common share has been adjusted and restated
for a one-for-four reverse split of common stock
effective at the close of business on March 22,2005. |
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